Spain leads Europe: 70% of household wealth is in real estate assets
Last Updated on 10 July 2025 by Urbanitae
Housing is seen as more than just a physical asset or an essential part of the urban landscape. It is also a deeply rooted symbol of security and financial stability. For decades, owning one or more properties has represented a safeguard against economic uncertainty, a form of protection against financial market volatility, and a retirement safety net.
Despite the many available investment options, real estate remains the top choice for Spaniards. The interest in this type of asset is more than evident, as reflected in the Swiss bank UBS’s Global Wealth Report 2025, which analyzes wealth levels in over 50 countries. According to the report, Spain ranks as the European country with the highest share of wealth invested in real estate, with nearly 76% of gross wealth tied to property. On a global scale, only New Zealand ranks higher—highlighting a key point: for Spanish families, real estate is seen as a safe and profitable asset.
Other European countries do not show the same interest in property. In France, only 69% of wealth is held in real estate; in Germany, the figure drops to 66%; and in Italy, it is among the lowest at 60%. Sweden, along with other non-European countries like the United States, does not even reach 50% of capital invested in property. However, other Southern European countries are following the trend: Portugal channels 74.5% of its capital into real estate, and Greece nearly matches Spain with 75%.
Over 1.2 million wealthy individuals in Spain, and a clear preference for real estate
The UBS study also reveals compelling data about the global context and Spain’s relative position. In terms of wealth per adult, Spain ranks 22nd worldwide, with an average wealth of $233,739 and a median of $126,000—figures that have been steadily growing since 2020. The report also notes that Spain is home to 1.2 million people with a net worth above one million dollars, and this group holds over 95% of the country’s assets. Even so, the gap with other advanced economies remains wide. For example, Switzerland, Australia, and the United States boast average wealth levels that are double or triple those of Spain, thanks to higher incomes, a greater share of financial assets, and more dynamic stock markets.
This contrast reflects a unique feature of Spain’s wealth structure. In countries like Sweden, Denmark, or the Netherlands, families allocate between 40% and 50% of their wealth to real estate, with the rest spread across financial products. In contrast, Spain continues to favor traditional property investment overwhelmingly.
From parents to children: the new inherited housing economy
Traditionally, families invested in homes for their children, with the hope that they would inherit them one day. Now, the inheritance of these homes, plots, or commercial spaces is becoming a reality, turning property into one of the most valued and strategic family assets. The Swiss bank highlights this generational transfer of real estate, focusing on millennials as the main heirs of this type of wealth.
In this way, UBS points to a phenomenon that it believes will define the next decade: the Great Wealth Transfer, during which an estimated $83 trillion will be passed down between generations worldwide over the next 25 years. Spain is no exception. According to the data, approximately 17% of the country’s gross wealth will change hands.
This massive wealth shift coincides with a demographic aging process: more than one-third of Spanish homeowners are over 65, which could mean that a large number of homes may come on the market in a short period, reshaping the dynamics of the real estate sector.
Spanish real estate: a tradition in decline?
According to UBS’s data, Spain is one of the European countries with the lowest share of financial assets in household wealth. While in countries like Sweden or Switzerland more than 70% of wealth is held in financial assets, in Spain this share barely exceeds 30%. The difference is significant: it implies less exposure to financial markets and, therefore, less access to global capital growth—but also lower risk and volatility.
In this regard, the Global Wealth Report 2025 shows that the global trend is moving toward more diversified wealth portfolios and increasing participation in financial assets. Global financial wealth grew by 6.2% in 2024, compared to just 1.7% growth in non-financial wealth. The Americas—especially the United States—led the way, thanks to strong financial markets and a stable currency.
While the earlier figures on Spanish wealth per adult place the country above the global average, they also highlight a significant gap compared to economies of similar size, like France or Germany. In terms of wealth growth in 2024, Spain saw a real increase (adjusted for inflation and measured in local currency) of around 8% on average and 18% in median wealth, indicating a substantial improvement in average wealth levels.
However, the issue may not be the amount of wealth but its composition. As UBS explains, in countries like Spain, Greece, or Portugal, non-financial wealth (mainly real estate) makes up two-thirds of gross assets, with low levels of debt. While this may seem positive in terms of financial risk, it limits growth potential and liquidity.
New investment opportunities beyond traditional real estate
Investing in real estate beyond traditional assets is now possible thanks to the rise of new regulated financial instruments like real estate crowdfunding. Platforms such as Urbanitae allow both institutional and retail investors to access new development projects through various methods—capital gains, debt, or equity—starting from just €500.
